Canfor Corporation completes acquisition of Canfor Pulp

Executive Summary

• Canfor Corp completed the court‑approved arrangement, acquiring 100% of the outstanding shares of Canfor Pulp Products Inc. (CFX).
• Consideration paid to former shareholders consisted of $3,996,572 in cash and 912,217 Canfor Corp common shares (0.0425 share per Canfor Pulp share).
• Following closing, Canfor Pulp’s shares will be delisted from the TSX on March 18 2026 and the company will seek to cease reporting under Canadian securities laws.

Key Details

• Transaction Structure: Court‑approved plan of arrangement under the BC Business Corporations Act; acquisition of all remaining Canfor Pulp common shares not already owned by Canfor Corp or affiliates.
• Ownership Before Closing: Canfor Corp and affiliates already beneficially owned 35,776,483 Canfor Pulp shares (~54.8% of outstanding).
• Shares Acquired in Arrangement: 29,457,076 Canfor Pulp shares (~45.2% of outstanding), bringing total ownership to 65,233,559 shares (100%).
• Consideration Options for Former Shareholders:
• Cash: $0.50 per Canfor Pulp share
• Share consideration: 0.0425 Canfor Corp common share per Canfor Pulp share
• Aggregate Consideration Paid: $3,996,572 in cash plus issuance of 912,217 Canfor Corp shares.
• Delisting & Reporting Status: Canfor Pulp shares to be delisted from the Toronto Stock Exchange as of market close on March 18 2026; Canfor Corp will apply for an order to cease Canfor Pulp’s reporting issuer status under Canadian securities law.
• Regulatory Filings: An early‑warning report will be filed with Canadian securities regulators; letters of transmittal and election forms must be returned to TSX Trust Company by former shareholders.
• Forward‑Looking Statements: Include expectations regarding delivery of consideration, delisting, and cessation of reporting obligations; subject to customary risk factors disclosed in Canfor Corp’s and Canfor Pulp’s MD&A for FY 2025.

Notable Quotes

(No direct quotes were provided in the release.)